OTEXA- QUOTA GROWTH RATES

The WTO Agreement on Textiles and Clothing (ATC) provides for increased growth rates to be applied to quotas outlined in the bilateral agreements under the Multi-Fiber Arrangement. Under the ATC, the growth rates allowed under the bilaterals will increase in three successive stages over the course of the 10-year transition period. For major supplying countries the growth rates will increase by 16% in 1995, an additional 25% in 1998 and an additional 27% in 2002. The following chart shows how the quotas will grow. 
   URUGUAY ROUND QUOTA GROWTH RATES

MFA         PHASE I       PHASE II      PHASE III
GROWTH      16% increase  25% increase  27% increase
RATES       (1995-1997)   (1998-2001)   (2002-2004)           
__________________________________________________
  1%         1.16%         1.45%         1.8415%
  2%         2.32%         2.9%          3.683%          
  3%         3.48%         4.35%         5.5245%
  4%         4.64%         5.8%          7.366%
  5%         5.8%          7.25%         9.2075%
  6%         6.96%         8.7%         11.049%
  7%         8.12%        10.15%        12.8905%
A small supplier's quotas account for less than 1.2% of total quotas. Small suppliers receive improved access. Small suppliers receive a 25% growth rate increase at the start of the agreement (1995); an additional 27% in 1998; and an additional 27% in 2002. 



Prepared by: OTEXA/TDD   May 1995





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